====== Peter Ricchiuti ======
Peter Ricchiuti is a highly regarded American finance professor at [[Tulane University]]'s [[A. B. Freeman School of Business]], celebrated for his energetic, humorous, and down-to-earth approach to teaching finance and investment. He is perhaps best known as the founder of [[Burkenroad Reports]], a pioneering student-led [[equity research]] program that focuses on small, often-overlooked public companies in the Southern United States. Ricchiuti demystifies the world of finance, translating complex concepts into understandable and actionable insights for students and ordinary investors alike. His style is a refreshing departure from the dry, jargon-heavy discourse often associated with [[Wall Street]]. By emphasizing common sense, diligent research, and a healthy dose of skepticism, he empowers individuals to think like business owners rather than speculators, a core principle of [[value investing]]. His work champions the idea that great investment opportunities can be found "under the rocks" if one is willing to do the homework.
===== Burkenroad Reports: Student-Powered Research =====
The crown jewel of Ricchiuti's career is the Burkenroad Reports program, which he founded in 1993. This initiative turns the traditional academic model on its head by sending teams of students to conduct in-depth, "boots-on-the-ground" research on real companies.
==== "Stocks Under the Rocks" ====
The program's focus is on what Ricchiuti affectionately calls "stocks under the rocks." These are typically [[small-cap]] or [[mid-cap]] public companies located in the American South that are too small to be covered by large investment banks. Because they fly under the radar of professional analysts, these companies can often be misunderstood and undervalued by the market, creating potential opportunities for savvy investors.
==== The Process ====
Students in the program don't just read annual reports. They travel to the company's headquarters, tour the facilities, and conduct extensive interviews with top management. This hands-on approach allows them to perform deep [[fundamental analysis]] and gain insights that cannot be gleaned from a spreadsheet alone. They assess the company's business model, management quality, and [[competitive advantage]] (or [[moat]]). The resulting research reports are published annually and are followed by a wide range of institutional and individual investors.
===== Investment Philosophy and Style =====
Ricchiuti’s investment philosophy is pragmatic and deeply rooted in value investing principles. It’s less about complex financial models and more about business acumen and common sense. His approach is highly reminiscent of investing legends like [[Peter Lynch]] and [[Warren Buffett]].
Key tenets of his philosophy include:
  * **Know What You Own:** Like Peter Lynch, Ricchiuti advocates for investing in businesses you can understand. He encourages investors to leverage their local knowledge or professional expertise to gain an edge.
  * **Management Matters:** A recurring theme in his teaching is the critical importance of a competent and honest management team. Meeting with management is a cornerstone of the Burkenroad process for this very reason.
  * **Patience is a Virtue:** He champions a long-term perspective, advising investors to buy good businesses and hold them, rather than trying to time the market or chase short-term trends.
  * **Look Where Others Aren't:** His "stocks under the rocks" thesis is a direct call to look for value in neglected corners of the market, where less competition for information can lead to finding mispriced gems.
===== Why He is Relevant to an Ordinary Investor =====
While he is an academic, Peter Ricchiuti's greatest contribution is to the ordinary, non-professional investor. His work provides both inspiration and a practical roadmap for successful investing.
  * **He Makes Investing Accessible:** With his humor and folksy wisdom, Ricchiuti strips away the fear and complexity that often surround the stock market. He makes people feel that they //can// do it themselves.
  * **He Provides a Usable Strategy:** The "stocks under the rocks" approach is perfectly suited for individual investors who have the ability to be nimble and explore niche companies that large funds must ignore due to their size.
  * **He Teaches the Right Mindset:** More than just stock tips, Ricchiuti teaches a way of thinking. He encourages curiosity, skepticism, and the discipline to do your own research—the essential traits of any successful value investor. His lessons are a powerful antidote to the get-rich-quick mentality that so often leads investors astray.